Mumbai: Infosys Technologies Ltd today (Nov 24, 2004) said its former director Phaneesh Murthy has settled a sexual harrassment lawsuit filed against him by a former female employee under which $800,000 have been paid.

"Infosys has learnt that the sexual harassment lawsuit filed by Jennifer Griffith, a former employee, against the company and Phaneesh Murthy has been settled by Phaneesh Murthy and Griffith, shortly before the October 29, 2004 date set for the lawsuit's trial," Chairman and Chief mentor of Infosys N R Narayana Murthy said in a communique to the Stock Exchange (BSE) in Mumbai.

Infosys did not contribute any money to the settlement and was not a signatory to the settlement agreement, he said adding that the company has learnt from its insurers' counsel that the settlement releases Infosys from all claims and liabilities alleged in the lawsuit.

Infosys has learnt from its insurers' counsel that the insurers contributed $400,000 towards the settlement and this represented 50 per cent of the total settlement payments.

The remaining 50 per cent contribution was paid by Phaneesh Murthy, since Infosys refused to make any contributions to the settlement.